(1) Except as provided in Subsections (2) and (3), and (4) of this Section, no person, or MCS provider shall be permitted to construct, and/or operate and maintain a multi-channel system which requires the laying or positioning of cable (coaxial, fiber or functional equivalent) across the rights-of-way of the City, without having first obtained a franchise, and then entering into a franchise agreement with the City.

(2) Pursuant to the CCPA, a local government may own and operate a multi-channel system classified as a cable system. Consequently, should the Council/franchising authority directly, or indirectly, through any legal means available to the Council/franchising authority, decide to purchase, acquire, construct, lease, control, or otherwise own a cable system within the territorial limits of the City, then the Council/franchising authority shall not be required to submit a proposal for, or receive, a franchise in order to construct, operate, lease and/or maintain a cable system within the geographical limits of the City.

(3) If, as a result of annexation (either previous to, or subsequent to, the effect date of this Chapter), a previously unfranchised MCS provider comes under the jurisdiction of the City, then such MCS provider shall not be required to obtain a franchise, and enter into a franchise agreement unless the Council/franchising authority expressly does not requires the operator to do so.

(4) Where a person or MCS provider is required by the Council/franchising authority to obtain an initial franchise, then the Council/franchising authority shall notify the person or MCS provider, in writing, within fifteen (15) working days prior to a hearing on the matter

(5) After receipt of notification that the Council/franchising authority is requiring an initial franchise, the affected person or MCS provider has ninety (90) days to submit an application or proposal in substantially the same form and format as required by the Council/franchising authority. Then, the affected person or MCS provider’s application will be handled as set forth by either State or local law.